What type of coverage is typically excluded in dwelling and homeowners policies?

Flood coverage is typically excluded in dwelling and homeowners policies because these types of policies are designed primarily to cover specific perils that are common to residential properties, such as fire, theft, and personal property loss. Flood damage, however, is considered a separate risk category due to its potential severity and the specific nature of flood-related claims. As a result, property owners often need to purchase a separate flood insurance policy through the National Flood Insurance Program (NFIP) or private insurers to adequately protect themselves against flood-related damages. This distinction is important for homeowners to understand when evaluating their insurance needs and ensuring they have comprehensive coverage.